ZAP Announces Grand Opening of Authorized Smart Car Dealership, Green Car Company, April 8 - 9 in Kirkland, Washington; Department of Energy Newsletter Reports on Trend Towards Smaller Cars Highlighting ZAP Alongside Honda

KIRKLAND, Wash.--April 7, 2006--Automotive pioneer ZAP (NYSE Arca:ZP)(PCX:ZP) announced today that it has made one of the largest shipments of the Smart Car Americanized for ZAP -- one of the most efficient cars available -- to its licensed and authorized dealer in the Northwest, The Green Car Company. A celebration and open house are planned over the weekend in Kirkland, Washington.

With gas prices creeping up towards record highs across the country, a recent Department of Energy, Energy and Renewable Energy Website reported on the resurgence of smaller cars in the US, highlighting ZAP Micro-Cars alongside Honda, who pioneered fuel-efficient cars in the 1970's. "After many delays, ZAP is only now selling the 2005 Smart Car Americanized for ZAP, which complies with regulatory requirements in all but five states." See the report at http://www.eere.energy.gov/news/enn.cfm#id_9872.

"This car is on the cutting edge as far as fuel efficiency, and it makes sense for our company to introduce it to the Northwest," said Susan Fahnestock, co-owner of The Green Car Company. "The Green Car Company is committed to reducing CO2 emissions by vehicles and this car is certainly a step in the right direction."

ZAP, a publicly-owned company based in Santa Rosa, California, recently embarked on a cross-country rally to attend the New York International Auto Show during Earth Day April 22 as part of its marketing campaign to raise awareness about fuel-efficiency and micro-cars. To highlight skyrocketing gas prices, on Wednesday ZAP America rally drivers blogged about buying gas near Barstow, California, for $4.00 a gallon. Follow the rally at URL http://www.zapworld.com/blog.

The 2005 model year Smart Car is the nation's most fuel-efficient all-gas turbo-powered car with a fuel economy rating of 40 miles per gallon for city and freeway driving, according to the EPA testing lab in Ann Arbor, Michigan. A little more than eight feet long (four feet shorter than a Mini Cooper) you can back the car into a parallel parking spot and fit two into a normal space. The Smart Car is powered by a three-cylinder, 61 horsepower turbocharged, 6-speed engine with electronic "clutch-less" transmission, capable of 85 miles per hour. Three different models are available as coupes or cabriolets and can change colors in under an hour by swapping body panels.

Available throughout the world, this will be the first time US legal Smart Cars are available in the Northeast via a registered importer. ZAP is now able to offer the only micro-car available in the USA through its authorized dealer and service network. Smart Cars have now been delivered and sold to several ZAP authorized dealers around the country while the Company is ramping up distribution along with other cars that seek to target the micro-car niche with advanced technology vehicles. ZAP is introducing an all-electric 'City-Car' called the XEBRA(TM) this year and plans to introduce a "trybrid" sports car through a venture with a Brazilian manufacturer. The Company is creating a portal in the US for advanced technology vehicles that can help conserve energy and be friendlier to our environment.

On April 8, 2006, The Green Car Company will have a VIP and media presentation with vehicle demonstrations of Smart Cars and other cars, and on April 9 will have an Open House for the public. Located at 11630 Slater Avenue NE, Suite 3, Kirkland, WA 98034, The Green Car Company is the premier local source for biodiesel, electric and other environmentally friendly forms of transportation including a sneak preview of the ZAP XEBRA electric car as well as other vehicles. In addition to being a certified service center for the Smart Car, The Green Car Company has a state of the art "green" repair facility as well as a biodiesel fueling station.

About ZAP

ZAP has been a leader in advanced transportation technologies since 1994, delivering over 90,000 vehicles to consumers in more than 75 countries. ZAP is at the forefront of fuel-efficient transportation with new technologies including energy efficient gas systems, hydrogen, electric, fuel cell, alcohol, hybrid, trybrid and other innovative power systems. The Smart Car Americanized for ZAP currently complies with regulatory requirements in all states except California, New York, Massachusetts, Vermont and Maine. ZAP is not affiliated with, or authorized by, smart gmbh, the manufacturer of Smart automobiles, or the smartUSA division of Mercedes-Benz LLC, the exclusive authorized U.S. importer and distributor of those vehicles. For more information, visit http://www.zapworld.com.

Cautionary Statement

This press release contains forward-looking statements. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including, without limitation, continued acceptance of the Company's products, increased levels of competition for the Company, new products and technological changes, the Company's dependence on third-party suppliers, intellectual property rights, and other risks detailed from time to time in the Company's periodic reports filed with the Securities and Exchange Commission.